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It's been nearly 10 years since Bellevue-based Mercata closed its doors in one of the more spectacular dot-com burn outs. But the technology behind Mercata -- an online group buying service backed by Paul Allen -- is finding new life today.

Kashless, an online classifieds service led by Seattle entrepreneur Martin Tobias, has acquired a portfolio of group buying patents from Allen's Vulcan Capital. In connection with the assets purchase, Kashless today is rolling out a new service in Seattle called Tippr that will try to succeed where Mercata failed.

Tippr allows people to sign up via email to get discounts on goods and services in the Seattle area. (Current promotions include discounts at local spas and pizza shops). Here's how the company describes it:

Tippr is the new wave in collective buying. Our Tippsters scout around town for the best deals for our members and serve them up to you daily. We have actually shopped at every merchant and bought every product featured on Tipper ourselves. Our Tippsters are so good at negotiating deals that we are the only deal web site able to provide a 100% price guarantee. You won’t find a better deal on the merchants and product featured here, we promise.

Shortly after Mercata's demise, CEO Tom Van Horn told me that the business failed due to poor timing. So, is the time right for a new group buying service?

Well, as we reported last September, the concept is gaining some traction with the emergence of Chicago-based Groupon. The group buying site has been firing on all cylinders, one of the reasons why it just raised $30 million in venture funding from Accel Partners, NEA and others. At the time of the funding, Groupon was operating in 26 cities (including Portland and Seattle) and had conducted more than 800,000 transactions.

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